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sr-062486-6m (2)GS:SES:JAS Council Meeting: June 24, 1986 T0: Mayor and City Council FROM: City Staff SUBJECT: Request to Amend Professional Services Contract No. 4579 (CCS) for Lukas Wendel for Construction Management Services on Ocean Park Beach Improvements and Ocean View Park INTRODUCTION This report requests that the City Gouncil approve an amendment to Professional Services Contract No. 4579 (CCS) for Lukas Wendel for construction management services on Ocean Park Beach Improvements and Ocean View Park to extend the contract to April 1, 1987, and increase the amount by $86,400. BACKGROUND Contracts were awarded by the City Council/Redevelopment Agency for the construction of Ocean Park Beach Improvements and Ocean View Park in September 1985. On October 1, 1985, a professional services contract in an amount not to exceed $100,000 was awarded to Lukas Wendel for construction management of the projects. The contract between the City and Lukas Wendel terminated on May 31, 1986. Ocean View Park Staff recommends extending the contract for construction management and increasing the contract amount for several reasons. Prior to the start of construction, Mr. Wendel was involved in developing several deductive design alternatives to cut project costs due to the shortage of contingency funding on - 1 - JUN 2 d 1996 this project. This resulted in considerable additional construction management expenses being incurred. Due to the efforts of Mr. Wendel, the project will be completed within budget, but there are several key tasks remaining. Mr. Wendel (and his staff of 3) will oversee the completion of: - the tennis court topping and accessories - the basketball court topping and accessories - the irrigation system - landscaping - interfacing with the Sea Colony 3 project He will also assist with user department requests for changes which include: - plantings along pedestrian accessway - miscellaneous walk alignment details - shrub substitutions Also, additional time will be needed for closing out the project which includes the final payment determination. The amount of funds originally allocated for the Ocean View Park construction management costs were only $25,000 due to the funding shortage specified above. Staff proposes an extension in the amount of $6,400 which caould bring the total to $31,400 or approximately 1.5~ of the costs of the entire project ($2.1 million). Ocean Park Beach Improvements The Ocean Park Beach project suffered delays in the completion of Phase I. This proved to be a far more difficult project than originally anticipated due to two subcontractor problems, the Z errors and omissions in the plans, coordination with the Sea Colony 3 work and the adjacent Ocean view Park project. The delays caused substantial extra amounts of the construction manager's time (equaling two additional full-time inspector positions). The extension in construction management services will cover inspection costs for the work to be completed during the interim Summer phase, closing out Phase I and inspecting Phase II construction. Phase II work includes the following major work areas: - South Park - completion of the Prornenade, bike path and Central Park demolition and concrete work - coordination with lifeguard station telephone system - protection of parking lot from Phase II construction truck traffic - coordination with Los Angeles Gounty on bike path - final project closeout (change orders, punch list, claims settlement, etc. The amount originally allocated for Ocean Park Beach construction management costs was $75,000. Staff proposes an extension in the amount of $80,000 which would make the total expenditure equal to $155,000 or 3.0~ of the costs of the entire project ($5.1 million). The project is estimated to be completed in March, 1987. - 3 - Discussion Project construction management costs are traditionally 3~ to 6~ of construction costs throughout the United States. The proposed extension of services will result in costs being below these amounts. Alternatively staff can be assigned to the project, but other projects including the two Airport projects, the Pier reconstruction and the Library Asbestos removal will have to be reassigned. BUDGET/FINANCIAL IMPACT Ocean View Park Funds in the arnount of $29,631.98 are available in Account No. 01-720-263-000-904 to pay for the additional $6,400 required for the project. Ocean Park Beach Improvements When the construction contract was awarded in September $400,000 was set aside for construction management and contingencies. To date approximately $189,205 has been committed which leaves a balance of approximately $210,795 to cover the $80,000 required by Mr. Wendel to complete the project and future change orders. RECOMMENDATION It is recommended that the City Council approve an amendment to Professional Services Contract No. 4579 (CCS) for Lukas Wendel for construction management services on Ocean Park Beach - 4 - Improvements and Ocean View Park to extend the contract to April 1, 1987, and increase the amount by $86,400. Prepared by: Stan Scholl, Director of General Services Dave Britton, Civil Engineer Iris Ingram, Sr, Administrative Analyst - 5